Apparently now resigned that a takeover is inevitable, Continental AG is trying to steer matters in a more amicable fashion.
Continental submitted a draft agreement to Schaeffler Group, listing three key points that it wants included in any deal. First, Schaeffler would have to improve its offer, second it wants guarantees that no employees would be fired and finally that Schaeffler would make repayments on Continental’s outstanding loans.
According to news reports, Schaeffler may up its deal to 75 euros a share, up from its original offer of 70.12 euros.
In other takeover action, Schaeffler stated that it wants Continental CEO Manfred Wennemer to stay on after the planned takeover, denying reports that Wennemer would be shown the door.
"We don’t want any change. We appreciate Mr. Wennemer. He has done a good job,” a Schaeffler spokesman said. At the same time, German media reported that Schaeffler CEO Juergen Geissinger favors Conti executive board member Karl-Thomas Neumann to replace Wennemer. (Courtesy of Tire Review)